Toronto – July 5, 2018
The Climate Solutions Group (“CSG”) announced today that they are postponing a multi-million dollar investment platform that would provide capital to projects that reduce greenhouse gases and helps fight climate change. The investment platform was a joint venture with a major Canadian institutional investor.
The Low Carbon Offset Platform, over a year in the making, was to close within the next few weeks, with plans to deploy upwards of $25M to projects in Canada and the US in the next 12 months, increasing to over $100M by 2021. With the institution as anchor investor, Daniels Carbon Management, the driving force behind CSG, had also agreed to invest in the platform.
These projects would create carbon offsets in Ontario, Quebec, California and Alberta, to be used by large emitters for compliance obligations in cap and trade and other programs that support their efforts to reduce carbon emissions using market based approaches.
The decision to postpone the launch was based on the institution’s concerns due to recent, and potential political developments, and heightened rhetoric in Canada related to climate change laws and policies.
“We are disappointed with recent political direction that has created uncertainty for investors to commit capital to projects that are needed to fight climate change”, said Robert Daniels, CEO of The Climate Solutions Group.
“These projects reduce carbon emissions, create valuable jobs, support innovation in the clean tech sector, and provide social benefits to our communities as well.”
“Our platform would have produced millions of tonnes of carbon offsets, that are widely recognized to be amongst the lowest cost methods of reducing greenhouse gas emissions.”
“We hope that, in the near term, the federal and provincial governments will agree on a firm direction that provides support for Canadian and international investors to invest in projects and businesses that will contribute to Canada’s effort to fight climate change.”
The Climate Solutions Group (CSG) specializes in the development and management of low carbon investment platforms, structured products and commodities. CSG is a private company based in Toronto, Ontario and Calgary, Canada.
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